Playing the high IV here in Ulta.
Trade Setup:
- 1 ULTA Apr 21 260/275/275/290 Iron Fly @ $10.50
DTE: 42
Max Win: $1050
Max Loss: $450
Breakevens: $264.50 & $285.50
Trade Management: 25% profit in the trade or ~$263. I will take off either side if it comes down to being worthless to have on as risk, closer to expiration. I'm willing to take this as full loser as well, given it has quite the range today.
Green is profit zone; black vertical bar is expiration.
Trade Setup:
- 1 ULTA Apr 21 260/275/275/290 Iron Fly @ $10.50
DTE: 42
Max Win: $1050
Max Loss: $450
Breakevens: $264.50 & $285.50
Trade Management: 25% profit in the trade or ~$263. I will take off either side if it comes down to being worthless to have on as risk, closer to expiration. I'm willing to take this as full loser as well, given it has quite the range today.
Green is profit zone; black vertical bar is expiration.
Trade closed manually:
I was tightening up positions today and realized how illiquid this stock is. I decided against having the risk on any further (the trade was immediately a loser from the get-go and is now up with this sell off) and close the trade. Closed at $10.10, so $40 profit/contract.